Declaring Bankruptcy in the Military
In the world of debtors and creditors, few situations are more complex than when the debtor happens to be not only in the military but is also going into bankruptcy. All parties concerned feel powerless and furious, not a good combination.
And of course, the reality that either party may have moral compasses which don’t exactly head due north.
Some creditors rely on the financial naiveté of young men and women in the military. These creditors promise easy terms and instant gratification; in short, everything a young man or woman might want with seemingly no drawbacks. And when skipping down to sign their loan documents, virtually all these debtors skip right over the fine print. And eventually, they are caught in escalating interest traps that help make unscrupulous creditors rich while impoverishing the lender.
Conversely there are those in the military with an overly developed sense of entitlement. They think that for all they are giving up, they should be allowed whatever they choose to buy. Consequences don’t apply to them. In these situations, a creditor wishing to be paid may wind up with military red tape in their lap instead of cash. And the debtors’ reasoning? Good luck pursuing me all the way to Afghanistan.
Either way, debtor or creditor, you may find yourself in an emotional quagmire with no visible clear-cut legal path through the difficulty. You may well need help. At the Drake Firm, we understand both the complexities and the difficulties of bankruptcy proceedings when the debtors are in the military. We also understand the fine points of negotiating that help result in both parties achieving some satisfaction.
But for starters, the United States Bankruptcy Court has an established verification method for determining the military status of debtors. The procedure can be found here. We will be happy to discuss these procedures, whether you are a creditor in need of establishing a claim in a bankruptcy proceeding or a debtor in the military filing for bankruptcy.
At The Drake Firm, we are unfailingly practical, brutally honest, and totally supportive. We look forward to helping you.